This Article is From Oct 13, 2012

Sugar production in Maharashtra expected to fall by 40 per cent

Sugar production in Maharashtra expected to fall by 40 per cent
New Delhi: Maharashtra's Minister for Co-operatives, Harshavardhan Patil has said that in the current crushing season, sugar production in Maharashtra is expected to take a hit of about 40 per cent.

Last year, sugar production was 90 lakh metric tonnes, this year it is expected to be in the range of 60 lakh metric tonnes. The fall in production is triggered by a series of factors. Maharashtra's sugar producing belt has seen a poor monsoon. Whatever water was available was diverted on a priority basis for drinking purposes. Deficient rains also meant that sugarcane was also diverted as fodder for cattle. There is additional worry on the sugar factories as well. Last year, a total of 175 sugar factories were working during the crushing season. This year, due to lack of availability of sugarcane, the state is expecting only 120 to 130 factories to be operational.

The Sugar Commissioner has drafted a preliminary report which will be updated and taken up sometime next month to do a complete assessment of the situation on the ground. There are about 25-30 lakh farmers grow sugarcane in Maharashtra. The sugar industry also employs two-three lakh workers, besides four-six lakh indirect employment in the sugar factories. Given that the sugar industry has an annual turnover of Rs. 50,000- 60,000 crores, the central and state governments earn revenue of Rs. 4500 crore, which is now expected to take a hit with the fall in production. The anxiety is greater for the crushing season of 2013-14 since 70 per cent of the area that should have been under sugarcane has not yet been cultivated.

"As minister of co-operation I am tensed of sugar production status of 2013-14," said Harshavardhan Patil.

Maharashtra produces 80 lakh tonnes of sugar on an average a year, nearly one-third of the national sugarcane output.
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